Huge losses and cyber attack brought down modular construction firm
Caledonian Modular, the Newark-based offsite construction firm which fell into administration in March, has racked up losses of almost £25m over the last two years, according to documents seen by TheBusinessDesk.com.
Meanwhile, unsecured creditors of Caledonian are unlikely to see any of the cash owed to them – a total of £20.7m
An administrators report says the firm filed a notice of intention to appoint administrators following pressure from creditor and uncertainty about securing funding to continue trading.
This was exacerbated by a cyber attack on Caledonian on February 24, which infected its servers and encrypted its data, reducing its ability to trade and leaving the firm facing a costly fix job.
Some 200 jobs were saved at Caledonian after administrators from Alvarez & Marsal sold the firm to JRL Group at the beginning of April for just £6.25m.